Although each disaster is different and affects each business in a variety of ways, most organizations make a few common mistakes which can have long-term implications. Avoid them by taking these simple steps before the next crisis.
After responding to recent business interruption events, Agility Recovery noticed insurance entities making a few common mistakes in response to disasters. Here are the top three—along with some best practices for avoiding them.
Mistake 1: Relying on a single point of failure. Many independent insurance firms have relatively simplistic business continuity plans for recovering from interruptions—and rightly so. There’s no need for complex, costly strategies that are difficult to maintain. However, those same plans tend to rely on a single disaster response solution for communication, recovery sites, key personnel and fuel sources.
As with other aspects of your business, diversifying your resources is a much safer bet. Here are a few ways to avoid key points of failure:
- Avoid having all staff using the same mobile phone service provider.
- Maintain a means of alternate email access if your primary server goes down.
- Should your primary location be compromised, know how to quickly redirect inbound phone lines to an alternate site or to mobile devices, and test your plan in advance.
- If you have a generator, ensure at least two fuel providers, one of which is located outside your immediate vicinity.
- Whether or not you have a generator, work to secure a standby or on-demand resource for obtaining temporary power at your location. Approximately 70% of businesses in the U.S. will experience a power outage of at least one hour each year.
- Cross-train your team in critical processes and functions within the firm—you never know when critical staff may be prevented from coming to work.
Mistake 2: Focusing on data recovery only. Most organizations back up their data, either offsite or in the cloud. But despite taking this logical step, many companies neglect to address how they will access that data and cloud applications. Additionally, without providing a productive work environment with reliable power and connectivity to phones and internet, your employees will be unable to complete critical operations.
Companies that don’t look beyond their data needs don’t realize they must also recover office space, furniture, hardware and power for their business. Ensure your organization has a plan for alternate workspace for your people, as well as a means for establishing connectivity. Remember, residential internet service and open Wi-Fi connections are notoriously unreliable and unsecure—don’t rely on them during a regional disaster.
Mistake 3: Failing to properly inform and prepare employees. Businesses often neglect to share details of their recovery plan with employees. All employees should be familiar with the company’s disaster recovery plan and their role in it. Additionally, if part of your plan is still having employees work from home, you must test the process ahead of time. Not everyone will have the resources they need to be successful working from home, and depending on the situation, they may not have power or internet access either.
Plus, while working from home may be a viable option, it isn’t a permanent solution. Develop a backup plan and a means to provide a productive workspace for employees, as well as a location for your clients to meet you in person.
Agility Recovery is the preferred provider of disaster recovery and business continuity solutions to Big “I” members. Download these free checklists to help your firm prepare for the next crisis:
